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2022-08-31-accounts

Charity registration number 1153923

THE WELLSPRING COMMUNITY BRIGHTON

ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022

THE WELLSPRING COMMUNITY BRIGHTON

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Ben Gray
Katy Gray
Lara Manighetti
Christopher Manighetti
Howard Davies
Charity number 1153923
Registered office 1 Elm Grove
Brighton
East Sussex
BN2 3ET
Independent examiner Darren Harding ACA FCCA DChA
Richard Place Dobson Services Limited
1-7 Station Road
Crawley
West Sussex
RH10 1HT

THE WELLSPRING COMMUNITY BRIGHTON

CONTENTS

Page
Trustees report 1 - 5
Independent examiner's report 6
Statement of financial activities 7
Balance sheet 8
Notes to the financial statements 9 - 16

THE WELLSPRING COMMUNITY BRIGHTON

TRUSTEES REPORT

FOR THE YEAR ENDED 31 AUGUST 2022

The trustees present their annual report and financial statements for the year ended 31 August 2022.

The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the Charitable Incorporated Organisation's Foundation constitution, the Charities Act 2011 and the Statement of Recommended Practice, "Accounting and Reporting by Charities", issued in March 2005.

Objectives and activities

The Charitable Incorporated Organisation's objects are:

1, the furthering and advancement of the Roman Catholic Religion and Benedictine Spirituality by in particular (but not limited to) teaching, pastoral care and other apostolic projects and to maintain those, including members of the Charity, engaged in such work.

2, such other purposes that are charitable in English Law whether or not directly connected with the Roman Catholic Church.

The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the Charitable Incorporated Organisation should undertake.

In order to fulfil these objectives with particular consideration as to how they serve and benefit others, the trustees have been directing the charity in a wide range of activities over the course of this year. These activities are reviewed on a rolling programme and changed, developed or dropped as is appropriate. This enables us to ensure that we are indeed continuing to operate in line with our charitable objectives.

Achievements and performance

Dear Friends,

As I reflect upon the events of the last twelve months, it seems strange that this time last year, we were still in the midst of a worldwide pandemic, restricting the ways in which we could gather together and the ways in which our ministry could operate. This all seems a little like a distant memory now as so much has changed over the past year.

In June 2021, Jo and Mary Ann went to spend a year with the Bernadine Sisters at Hyning, in order to explore the idea of establishing consecrated life within Wellspring. They gained a lot during their year of formation and discernment, but it became clear that moving forward with consecrated life was not the right direction for them at this time. Jo and Mary Ann are both living back in Brighton now, and have taken on new roles; Jo is now leading the Student and Young Adult Ministry Team and also beginning a counselling training course, while Mary Ann is training and working in a local nursery. It is good to have them back with us in Brighton and to hear some of the things they learnt and received while living with the Bernadine sisters.

This summer, we said farewell to Camillo, as he left our Formation & Mission house and moved on to join the Marian Franciscans in Portsmouth. As you may remember from last year’s newsletter, COVID restrictions affected much of our work with young adults last year, and as a consequence, very few people enquired to join the Formation & Mission programme this year. Through Jo’s rejuvenating work with the young adults ministry, we are hopeful that we will be in a position to restart the Formation & Mission programme in September 2023.

Our ongoing collaboration with Worth Abbey continues to develop through our involvement in ‘Worth Pilgrims’, an initiative of Abbot Mark to draw together a number of groups in relationship with the monastery and to collaborate in mission. Furthermore, the ‘Brighton Monks’ (Fr Aidan, Fr Gabriel and Br Anthony) have now taken on the assistant priest role within the East Brighton Parish, and are living their community life together in the presbytery at St John the Baptist Church (Kemptown, East Brighton). In the parish and at the universities, Fr Gabriel has been working on the Students and Young Adults Team and Br Anthony has also enjoyed leading walks for young adults and working with them in the parish.

Each of the families within the Wellspring Community welcomed their newest little members during 2022, so it has been a joyful season of births, baptisms and tired parents. During the year, the events for couples and families (which began at Worth Abbey last year) have continued to develop well, with many newcomers and a steady cohort of ‘returners’ to each event. Since beginning these events, we have had a number of families asking about how they can become more involved with the life of the community, so we are looking at how to forge new paths to membership for those in the married state of life.

page 1

THE WELLSPRING COMMUNITY BRIGHTON

TRUSTEES REPORT (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2022

Exploring consecrated life

In July last year, Jo and Mary Ann began their stay with the Bernadine Cistercians at the monastery of Our Lady of Hyning (Lancashire), where they participated fully in the life of the community; they joined in with the daily rhythm of prayer, the work and formation of the community and received individual guidance from a nominated sister. Sadly, in early 2022, the sister accompanying Jo passed away and there was no obvious candidate to replace her, so the decision was made for Jo to move to the other UK Bernardine monastery - Brownshill in Gloucestershire, where another suitable sister could take over.

Over the course of the year, it became increasingly clear that moving forward into a semi-monastic life within Wellspring as initially envisioned was not going to be possible. While this is a sadness, we are trusting in the process undertaken over the last year, and inviting the Holy Spirit to guide and shape our next steps. Both Jo and Mary Ann have received much from their time with the Bernardines, which will no doubt bring wisdom and enrichment to our community life. Mary Ann describes a little of her experience here:

“The 14 months I spent in Hyning monastery were enriching and formative and have given me invaluable insights into living in community. I was fortunate enough to have been at Hyning for the solemn profession (the lifelong commitment) of one of the sisters, Sr Reina. What I found particularly striking in the preparations was that each sister, (including the 97 year old!), had a role to play, something to contribute to make the day special, no matter how big or small. The solemn profession of Sr Reina was not only a witness to what God is doing in her life, it also built up the community and provided an opportunity to be part of something bigger than oneself through concrete acts of loving service.

On another occasion in November, there was a blackout in the monastery. I woke up and carried on with my normal routine – I went to the kitchen to make coffee. On the way there, I was intrigued to see one of the sisters busy preparing candles and jars to put outside the bedroom of each sister and along the corridors. I found myself being drawn to get involved. That gesture showed me how these types of actions communicate kindness and attentiveness that can affect the whole community, and inspire others to act in the same way.

Finally, the community’s commitment to pray together daily. Each day is punctuated with moments of praying together, including praying the Psalms and coming together to celebrate the Eucharist. I appreciated the reminder that the Psalms were the prayers of Christ himself, and even before His time, many of the Jews would gather in the Temple to pray them. A day punctuated by prayer provides opportunities throughout the day to be reminded of God’s presence and my dependence on God.”

As a community, we want to offer our heartfelt thanks to so many of you who have made this journey possible through your prayers and financial gifts. We ask your ongoing prayers for Jo, Mary Ann and the communities at Hyning and Brownshill who have supported us during this time.

Young Adults Houseshare

This summer we said a number of ‘goodbyes’ to people who have been living alongside the community over the past year. Joy and Eduard moved to Wales for the next stage of Joy’s medical training. Luigi headed off to Rome to work as a missionary with the homeless, and Camillo moved on to join the Marian Franciscans in Portsmouth Diocese. Sarah has now been joined in the community house by Jo, Jess and Hannah (a former Formation & Mission member).

Luigi says:

A key idea I have taken with me because of my experience at 1 Elm Grove, is 'Ora et Labora' a Benedictine principle on the healthy balance between work and prayer. Coming from a business background, I am prone to allow work to take over, yet what I witnessed in Community members, showed me how to rebalance my day to day working week and to fully enter into times of celebration such as Christmas, with Christ as the center and focus.

Camillo reflects on his time in the Formation & Mission house:

Community life was initially quite intense, and it took some time to adjust to. It was a new experience having so much prayer in common, singing the Divine Office together three times a day. A particular challenge for me was that I have never really sung before. Luckily, along with another community member, I received weekly singing training from Br Anthony - much needed! As the year progressed and confidence in singing increased, I started to appreciate the beauty of the Divine Office, particularly singing it with other people with whom you are journeying in the same community.

page 2

THE WELLSPRING COMMUNITY BRIGHTON

TRUSTEES REPORT (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2022

There was plenty of intellectually and spiritually rich formation, covering diverse topics such as the Rule of St Benedict, the Desert Fathers, the lives of St Bernard, St Teresa of Avila and St John of the Cross, as well as Prophets of the Old Testament. It was one of the greatest graces of the year, receiving all that formation, especially formation which felt personally applicable at that time.

Compared to where I was when I joined the community I am in quite a different place. I definitely feel more grounded and more at peace. I believe there has also been noticeable healing and I am sure that Wellspring, with all the prayer of the community, has been a significant factor in that. I am grateful to Wellspring for having had me with them these last two years and I hope that God will continue to bless the community and that others can experience being part of it.

We pray for Camillo, Luigi, Joy and Eduard as they continue their journeys.

Work with young adults in East Brighton

A newly configured Student and Young Adult Ministry Team is up and running this academic year, reaching out to young people and supporting them in their faith journeys. The Team consists of Jo as Coordinator, with Fr Rod as Sussex Chaplain and Fr Gabriel as Brighton Chaplain (Claire’s maternity cover). During Covid the programme ran at a very reduced level, but now we’re seeing an enormous boom in young adults/students coming to Church (upward of 60 every week at St Joseph’s), many of whom are very keen to be fully engaged in a life of faith. The Team’s work extends across the whole of East Brighton, with activities taking place at the Falmer end of town (Sussex Campus and Howard House) and a programme at St Joseph’s in town. Jo and the monastic team have relaunched Deep Waters after a two-year break, offering a deeper formation in central aspects of the Christian life, with faith-sharing and Adoration, and on Sunday after the 11am parish Mass we offer a lunch, which roughly twenty-five young people attend each week. Some Sundays, we’ve invited special guests to come and tell their story of how God has transformed their lives. This has had a profound impact on the participants, witnessing to God’s power to touch people’s lives in a personal way. It has also enabled the younger generation to meet older members of the parish community, and to feel more integrated in the Church family. We have also continued to run student and young adult retreats at Worth, that essential mountain top experience, and have been delighted that the November and December retreats were fully booked.

We are developing a new Service Team amongst the young adults, to be protagonists of the Deep Waters and parish community, to minister to their peers, serve in practical ways, and reach out to others. They are full of creative ideas from socials to evangelistic videos on social media. In the past our young adults work was a Wellspring team ministry, harnessing the capacity and gifts of our young Formation & Mission members in peer ministry. It’s a new terrain without Formation & Mission members for this year, but it opens up the possibility of a greater ownership of the mission from within the group itself, and a stronger collaboration with the Brighton Monks and parish. We also have a few young people coming to us who are entirely new to Catholic-Christian faith, seeking baptism. It does feel as if Covid has helped some young adults to ask more searching questions, and explore faith, or recommit to the faith they have been brought up in, in a more wholehearted way. A great gift of St Joseph’s Church is its gift of welcome. We have people arriving in Brighton from all over the world, often feeling alone and anxious, beginning a new life here. They come to St Josephs and experience profound belonging, and the joy of being part of God’s family.

Family Ministry

Over the last 14 months, Ben and Katy, along with the other married Wellspring members, have been developing opportunities to serve young families. These events have taken place at Worth Abbey, where we are able to offer hospitality, friendship, rest and renewal in Christ for those who come.

Our once-a-month morning group for parents and children attracts both mums and dads with their little ones. Having started out in 2020 with a group of four families, one year later this group is still welcoming newcomers every time, as people invite friends or new people they have met in their parishes. Many of the parents attending this group have been involved with the Wellspring Community in Brighton over the years as young adults, and share our commitment to reaching out and inviting others to share in what we have received. We are grateful to the monastic community for offering the Sacrament of Reconciliation on these mornings - a crucial and life-giving gift of our faith to overstretched and under slept parents. These mornings are a fantastic seed-bed for relaxed but significant conversations between parents about how to navigate family life and parenthood in today’s world.

page 3

THE WELLSPRING COMMUNITY BRIGHTON

TRUSTEES REPORT (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2022

The monthly Friday mornings have been an oasis for us in the midst of our daily lives. To begin with, Em used to attend with our 4 year old, but after the second baby was born in July, Rahul started attending as well, work permitting. We find it is a safe, prayerful and relaxing space, the surroundings of Worth Abbey are beautiful, and there's no pressure. We might choose to chat, go for a forest walk with the kids, or just relax and have some space to breathe or pray with a cup of tea. The opportunity for the Sacrament of Reconciliation means that there is an opportunity for interior healing and peace as well. Our 4 year old loves it too, and the event has become something we really look forward to. Everyone is really welcoming and friendly. Thank you! It really makes a difference.

Rahul and Emma-Clare Chacko

The Bermondsey Huts site is on the edge of the Worth estate, and is an area of field and forest land with a scout-hut style building at one end. For the last few years, we have run an event for families there on Holy Saturday, and this year, we tried running a series of family days over the spring and summer. Between March and October, we welcomed 25 families to the site, around 50% of whom had never participated in Wellspring events until this year. The summer days involved picnics, outdoor Mass, frisbees and a BBQ, whereas the autumnal in October day was an opportunity for a forest walk, a camp fire and hot chocolate with marshmallows when the rains came. As well as meeting a need for the parents, the children, of course, had great fun on these days playing in the woods and finding large sticks to build dens (or hit each other with!).

Community Membership

This year is the first time we have had families enquiring to join the community, rather than people in their single years (who normally join after a time in the Formation & Mission house). This has presented us with significant questions about how to offer deep and rich formation in a way that is compatible with a busy family life. The Woodward family have been very willing ‘guinea pigs’, as we work out how to share the Wellspring Way of Life with families coming into the community:

We have both been aware of the Wellspring Community for many years (Anna lived in the Formation & Mission house for two years and Barney grew up in the Lay Community of St Benedict). Having had experience of the Emmanuel Community, we both did the Emmanuel School of Mission year in Rome, we knew the value of living community life and the way that it supports and encourages us to grow in holiness. As we entered life with toddlers and all the challenges (and joys!) that they bring, we felt the need for community well up in us again. This prompted us to approach Wellspring about joining in their community life.

We are now a little over a year into our journey and have really enjoyed it so far. Joining together with other committed Catholics to share faith and receive formation has borne fruit in our personal prayer lives and in our family. We have been especially grateful to see our children forming friendships with other faith-filled families. We are looking forward to seeing what comes of our next few months and how our continued membership forms, sustains and develops our spiritual lives.

Closing

I would like once again thank all of you for your friendship, prayers and support. We are so grateful to you as we navigate some of these changes to the life, shape and work of our community. As always, please let us know if you have any particular prayer intentions or you would like to know more about how to get involved in or support our mission.

In Christ

Ben Gray and the Wellspring Community

Financial review

The charity made a surplus of £1,028 (2021: £13,503) during the year as set out in the Statement of Financial Activities on page 7 of the accounts.

It is the policy of the Charitable Incorporated Organisation that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between six and twelve months of total expenditure. The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the Charitable Incorporated Organisation’s current activities while consideration is given to ways in which additional funds may be raised.

The trustees have assessed the major risks to which the Charitable Incorporated Organisation is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.

page 4

THE WELLSPRING COMMUNITY BRIGHTON

TRUSTEES REPORT (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2022

Trustees have given consideration to the Charities SORP ('Statement of Recommended Practice') Committee's advice in its publication 'Implications of COVID-19 Control Measures and Charity Financial Reporting' and to the risks arising as a result of the coronavirus pandemic. The Charity is actively monitoring and managing the situation as it develops. We have adapted our operations and consider that the Charity has adequate reserves and committed future grants from supportive and solvent funders.

Structure, governance and management

The Charitable Incorporated Organisation was established by a Foundation constitution on 23 September 2013.

The Wellspring Community was formally established 5 years before receiving charity status in 2013. As way of contextualising this report it might be useful to remind the reader that whilst the charity has only existed for 9 years the community’s roots are at least 14 years old in the Elm Grove Community project. The Promised members of the community renew their Promise annually, and Formation and Mission members are continuing to join us for a period of time to live and experience our way of life. This commitment coupled with prayer and a pooling of resources, has enabled us to have a great stability and deep communion with one another out of which we have been able to grow our ministry in a way that is quite beautiful. Many of the projects reported here have been running and developing for a number of years and we continue to see the great impact on a faith journey of a wide range of people they have had.

The trustees who served during the year and up to the date of signature of the financial statements were: Ben Gray Katy Gray Lara Manighetti Christopher Manighetti Howard Davies

The trustees generally come from the membership of the community, though we occasionally invite non-members who can offer wisdom and expertise to join our board of trustees. Every trustee must be appointed for a term of three years by a resolution passed at a properly convened meeting of the charity trustees.

In selecting individuals for appointment as charity trustees, the charity trustees must have regard to the skills, knowledge and experience needed for the effective administration of the CIO.

The trustees are also members of the community. Members of the community are maintained by the charity and the cost of premises, meals and other living expenses in respect of each member is paid by the charity. In return the members pay their salary into the charity. The above list of trustees are related parties of the charity.

The trustees report was approved by the Board of Trustees.

Lara Manighetti Trustee

Date: 30 June 2023

page 5

THE WELLSPRING COMMUNITY BRIGHTON

INDEPENDENT EXAMINER'S REPORT

TO THE TRUSTEES OF THE WELLSPRING COMMUNITY BRIGHTON

I report to the trustees on my examination of the financial statements of The Wellspring Community Brighton (the Charitable Incorporated Organisation) for the year ended 31 August 2022.

Responsibilities and basis of report

As the trustees of the Charitable Incorporated Organisation you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act).

I report in respect of my examination of the Charitable Incorporated Organisation’s financial statements carried out under section 145 of the 2011 Act. In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

Your attention is drawn to the fact that the charity has prepared financial statements in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.

I understand that this has been done in order for financial statements to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.

Darren Harding ACA FCCA DChA

Richard Place Dobson Services Limited 1-7 Station Road Crawley West Sussex RH10 1HT

30 June 2023 Dated: .........................

page 6

THE WELLSPRING COMMUNITY BRIGHTON

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 AUGUST 2022

Unrestricted
Restricted
funds
funds
2022
2022
Notes
£
£
Income from:
Donations and grants
3
27,369
49,500
Charitable activities
4
17,190
-
Total income
44,559
49,500
Expenditure on:
Charitable activities
5
43,533
49,500
Net income for the year/
Net movement in funds
1,026
-
Fund balances at 1 September
2021
173,197
-
Fund balances at 31 August
2022
174,223
-
Total
Unrestricted
Restricted
funds
funds
2022
2021
2021
£
£
£
76,869
27,662
53,000
17,190
48,724
-
94,059
76,386
53,000
93,033
62,883
53,000
1,026
13,503
-
173,197
159,694
-
174,223
173,197
-
Total
2021
£
80,662
48,724
129,386
115,883
13,503
159,694
173,197

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

page 7

THE WELLSPRING COMMUNITY BRIGHTON

BALANCE SHEET

AS AT 31 AUGUST 2022

Notes
Fixed assets
Tangible assets
10
Current assets
Debtors
11
Cash at bank and in hand
Creditors: amounts falling due within one
year
12
Net current assets
Total assets less current liabilities
Income funds
Unrestricted funds
2022
£
2,628
172,516
175,144
(4,988)
£
4,067
170,156
174,223
174,223
174,223
2021
£
2,047
168,272
170,319
(2,821)
£
5,699
167,498
173,197
173,197
173,197

The financial statements were approved by the Trustees on 30 June 2023

page 8

THE WELLSPRING COMMUNITY BRIGHTON

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2022

1 Accounting policies

Charity information

The Wellspring Community Brighton is a Charitable Incorporated Organisation.

1.1 Accounting convention

The financial statements have been prepared in accordance with the Charitable Incorporated Organisation's Foundation Constitution, the Charities Act 2011 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The Charitable Incorporated Organisation is a Public Benefit Entity as defined by FRS 102.

The Charitable Incorporated Organisation has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.

The financial statements are prepared in sterling, which is the functional currency of the Charitable Incorporated Organisation. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the Charitable Incorporated Organisation has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

1.4 Income

Income is recognised when the Charitable Incorporated Organisation is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Grants received are included in the year in which the charity is entitled to the income.

Charitable activities income include community members income and retreats and missions income. It is recognised in the period to which it related which is when the charity becomes entitled to it.

1.5 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.

Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.

page 9

THE WELLSPRING COMMUNITY BRIGHTON

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2022

1 Accounting policies

(Continued)

Expenditure is included when incurred.

Charitable costs relate to the costs of the community and have been allocated directly to the functional headings as shown on the SOFA.

Governance costs include costs incurred in dealing with the legal and administrative requirements of the charity and are recognised when incurred.

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Computers Motor vehicles

3 years straight line 25% reducing balance

1.7 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.8 Financial instruments

The Charitable Incorporated Organisation has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Charitable Incorporated Organisation's balance sheet when the Charitable Incorporated Organisation becomes party to the contractual provisions of the instrument.

1.9 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the Charitable Incorporated Organisation is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.10 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.11 Taxation

As a charity, the organisation is not subject to Corporation Tax or any taxes on income and gains arising from its charitable activities.

2 Critical accounting estimates and judgements

In the application of the Charitable Incorporated Organisation’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

page 10

THE WELLSPRING COMMUNITY BRIGHTON

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2022

3 Donations and grants

Unrestricted
Restricted
funds
funds
2022
2022
£
£
Donations and gifts
27,369
-
Grants received
-
49,500
27,369
49,500
Total
Unrestricted
Restricted
funds
funds
2022
2021
2021
£
£
£
27,369
27,662
-
49,500
-
53,000
76,869
27,662
53,000
Total
2021
£
27,662
53,000
80,662

page 11

THE WELLSPRING COMMUNITY BRIGHTON

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2022

4 Charitable activities

Salaries and Salaries and
Earnings Earnings
2022 2021
£ £
Retreats and Missions income - 20,001
Salaries and earnings 17,190 28,723
17,190 48,724

5 Charitable activities

Property
Costs
Activities
Costs
Community
Costs
2022
2022
2022
£
£
£
Staff costs
48,462
-
-
Rent, rates, water, light and heat
15,649
-
-
Insurance
1,080
-
-
Telephone and fax
475
-
-
Sundry expenditure
-
7,816
-
Repairs and maintenance
1,523
-
-
Motor and travel expenses
-
182
221
Personal and holiday expenditure
-
-
906
Healthcare
-
-
18
Food costs
-
2,935
-
Retreats
-
4,413
-
Mission expenditure
-
4,514
-
67,189
19,860
1,145
Share of support costs (see note 6)
408
1,267
200
Share of governance costs (see note 6)
644
2,004
316
68,241
23,131
1,661
Analysis by fund
Unrestricted funds
38,261
4,011
1,261
Restricted funds
29,980
19,120
400
68,241
23,131
1,661
Total
2022
£
48,462
15,649
1,080
475
7,816
1,523
403
906
18
2,935
4,413
4,514
88,194
1,875
2,964
93,033
43,533
49,500
93,033

page 12

THE WELLSPRING COMMUNITY BRIGHTON

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2022

5 Charitable activities

(Continued)

For the year ended 31 August 2021

Property
Costs
Activities
Costs
Community
Costs
£
£
£
Staff costs
30,562
-
-
Rent, rates, water, light and heat
52,009
-
-
Insurance
436
-
-
Telephone and fax
1,294
-
-
Sundry expenditure
-
4,967
-
Repairs and maintenance
242
-
-
Motor and travel expenses
-
161
2,992
Personal and holiday expenditure
-
-
3,391
Healthcare
-
-
369
Food costs
-
10,426
-
Retreats
-
1,572
-
Mission expenditure
-
2,452
-
84,543
19,578
6,752
Share of support costs (see note 6)
1,055
924
151
Share of governance costs (see note 6)
1,427
1,249
204
87,025
21,751
7,107
Analysis by fund
Unrestricted funds
46,475
13,001
3,407
Restricted funds
40,550
8,750
3,700
87,025
21,751
7,107
Total
2021
£
30,562
52,009
436
1,294
4,967
242
3,153
3,391
369
10,426
1,572
2,452
110,873
2,130
2,880
115,883
62,883
53,000
115,883

page 13

THE WELLSPRING COMMUNITY BRIGHTON

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2022

6 Support costs

Support costs
Governance
costs
£
£
Depreciation
1,632
-
Bank charges
243
-
Accountancy
-
2,964
1,875
2,964
Analysed between
Charitable activities
1,875
2,964
2022 Support costs
Governance
costs
£
£
£
1,632
2,085
-
243
45
-
2,964
-
2,880
4,839
2,130
2,880
4,839
2,130
2,880
2021
£
2,085
45
2,880
5,010
5,010

Governance costs includes payments to the independent examiners of £2,580 for the independent examination.

7 Trustees

None of the trustees (or any persons connected with them) received any expenses during the year, however two trustee received salaries for their roles as part of the leadership team.

8 Employees

The average monthly number of employees during the year was:

2022 2021
Number Number
2 1
Employment costs 2022 2021
£ £
Wages and salaries 39,532 12,393
Social security costs 4,931 -
Other pension costs 999 309
45,462 12,702

There were no employees whose annual remuneration was more than £60,000.

9 Taxation

The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxationof Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.

page 14

THE WELLSPRING COMMUNITY BRIGHTON

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2022

10
Tangible fixed assets
Computers
Motor
£
Cost
At 1 September 2021
830
At 31 August 2022
830
Depreciation and impairment
At 1 September 2021
554
Depreciation charged in the year
276
At 31 August 2022
830
Carrying amount
At 31 August 2022
-
At 31 August 2021
276
11
Debtors
Amounts falling due within one year:
Other debtors
Prepayments and accrued income
12
Creditors: amounts falling due within one year
Other taxation and social security
Accruals and deferred income
vehicles
£
14,351
14,351
8,928
1,356
10,284
4,067
5,423
2022
£
1,955
673
2,628
2022
£
1,901
3,087
4,988
Total
£
15,181
15,181
9,482
1,632
11,114
4,067
5,699
2021
£
-
2,047
2,047
2021
£
61
2,760
2,821

page 15

THE WELLSPRING COMMUNITY BRIGHTON

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 AUGUST 2022

13 Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:

Movement in funds Movement in funds Movement in funds
Income Expenditure Balance at Income Expenditure Balance at
1 September 31 August 2022
2021
£ £ £ £ £ £
Formation and Mission House
Fund 53,000 (53,000) - 49,500 (49,500) -

The Formation and Mission House fund represents funds received from Porticus for use within The Wellspring Community and its Formation and Mission House.

The Annual Formation fund represents funds received from Caritas Veritatis Foundation towards Annual Formations.

14 Related party transactions

There were no disclosable related party transactions during the year (2021 - none).

page 16